Veteran investor Kevin OLeary expects Congress to revisit the CLARITY Act next year after the Senate blocked the bill from advancing this week.
Speaking at the Avalanche Summit in New York, O‘Leary said lawmakers could return to the legislation as soon as early 2027. He said he expected Tuesday’s procedural vote to fail, describing the bills chances of passing as “zero.”
Tax Bill Adds Pressure
The Senate needed 60 votes to advance the CLARITY Act, but the measure fell short during Tuesdays vote. The setback came as lawmakers advanced separate crypto tax legislation.
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The House Ways and Means Committee approved the Digital Asset Tax Certainty Act on Wednesday. The bill would address tax treatment for staking and mining, reporting requirements, small transactions and wash-sale rules.
O‘Leary linked the tax legislation to the broader regulatory debate, saying clearer rules are needed as Congress determines how digital assets should be taxed. “Once you tax, you’ve got to have policy,” he said.
Market Rules Remain Unresolved
OLeary also said Congress would need to clarify the roles of the Securities and Exchange Commission and Commodity Futures Trading Commission in overseeing crypto markets.
The CLARITY Act remains stalled after failing to reach the Senates 60-vote threshold. However, the legislation remains eligible for future consideration.